ABSTRACT

This chapter examines the state level trends and magnitude of household components of investment in agriculture using the All India Debt and Investment Survey (AIDIS) data compiled by the Reserve Bank of India (RBI). It reviews the literature covering the discussion on the issue of the sources of data and the relationship between public and private investment in Indian agriculture. The chapter analyses the trends in the household component of farm investment across the states and examines the factors influencing private investment and output in agriculture at the state level. It focuses on the recent trends of public investment based on the data revealed by the National Account Statistics, Central Statistical Organization (CSO). The estimation of capital formation in various sectors of the economy has been undertaken by National Accounts Statistics of the CSO, Government of India. The chapter concludes with the decline of public investment in Indian agriculture based on the CSO series particularly during the 1980s.